Technology is a critical component of the business—one that should be engaged in every aspect of operations and strategy.

When Bill Clinton ran for
president, his slogan was, “It’s the economy, stupid!” Well, when it comes to
IT, my slogan is, “It’s the business, stupid!”

I
am a firm believer that the true value of IT is to drive tangible business
value. I’m not a fan of technology for technology’s sake. Nor am I a big fan of
people who become enamored with technology because it’s “cool.” IT is meant to
help drive business outcomes, plain and simple.

For
the past few years, you couldn’t attend a conference or pick up a technology
publication without reading about the need for IT to “align” with the business.
To me, this may be the single stupidest thing I’ve ever heard. Do you hear CFOs
or CMOs discussing the need to align with the business? Of course not. Why?
Because they know they are a critical part of the business.

Well,
so are we! The concept of IT aligning with the business suggests that IT is
somehow separate from the business. Instead, we are a critical component that
should be engaged in every aspect of operations and strategy.

I
often tell people that my organization doesn’t have any IT projects, which
makes them look at me as if I had three heads. But it’s true: We don’t have any
IT projects.

What
we do have are many important business projects in which technology is a key
driver for achieving the desired outcomes and generating the necessary value.
These projects are sponsored by business executives, have clearly articulated
business outcomes and provide a real business ROI. Otherwise, there’s no
project.

I
imagine you’re thinking, “Yeah, smart guy, but what about infrastructure
projects?” Well, in those cases, the CIO (a.k.a. me) is the business sponsor,
and the onus is on me to articulate a value proposition and an ROI as to why we
should upgrade a portion of the infrastructure and the business implications of
not doing that.

It’s
very simple: Our mission is to grow the sport of tennis in the United States.
Every penny we spend on something unrelated to that goal is a distraction from
what really matters to our organization. Therefore, we ensure that the money we
invest in technology helps to drive that mission.

In
every organization there are critical objectives that determine whether it
succeeds in accomplishing its mission or misses the mark. If I asked you, I'm
sure you could rattle off the top three
things your company is focused on accomplishing this year. It might be
launching a new product line, increasing top-line revenue by a certain percent,
lowering operational costs, rationalizing a global business process, or
integrating a key merger or acquisition. Whatever these goals are, they
constitute what matters to your organization.

All
CIOs have a limited amount of human and financial resources. In determining how
to invest (not spend!) these resources, I suggest you ask yourself the
following three questions:

1.
What are the top priorities that really matter for my company?

2.
How will the things we are planning to do affect these major objectives?

3.
If they won’t affect these goals, why are we doing them?

This
is a tough litmus test, but it’s one that should be applied to all potential
initiatives. Some of you probably have projects in your portfolio that either
don’t have a customer (there is no business sponsor) or don’t have a
quantitative or qualitative ROI. Instead, they are projects you think you
should do—or want to do.

Let
me ask you this: Is that how you handle your personal finances? Do you make
sure that the mortgage and utility bills are paid first, or do you put your
money on the No. 3 horse in the fifth race? When it comes to your own money,
you undoubtedly are prudent in how you invest it.

Well,
if you are truly a business leader (and if you have a C in your title, you’d
better be), then it is your money! Too many CIOs think like technologists, but
their job is to function as an executive of their company.

I
always laugh when I hear CIOs whining about having to justify their budgets.
None of us has unlimited resources. All of us have to determine what the
appropriate level of investment is to fuel our efforts.

Have
you ever met a business executive who isn’t focused on the financial bottom
line and who isn’t held accountable for financial outcomes? If we as CIOs are
truly business executives, then we should be held to the same set of
expectations as the other business leaders in the C-suite.

Larry
Bonfante is CIO of the USTA and founder of CIO Bench Coach, an executive
coaching practice for IT executives. He is author of Lessons in IT
Transformation: Technology Expert to Business Leader. Larry can be reached at
Larry@CIOBenchCoach.com.